Is inventory an asset or a liability?

Answer On One Hand: Accounted for as an AssetTechnically inventory is accounted for as a current asset. However, there needs to be a contra account to allow for spoilage and/or shrinkage that may occur .... Read More »

Top Q&A For: Is inventory an asset or a liability

Is Inventory an Asset or Liability?

While officially classified as an asset, inventory can often feel more like a liability. For example, even though assets (such as inventory) are defined as "items of economic value," few business o... Read More »

Asset Inventory Procedures?

An asset is an economic resource that a firm intends to use in manufacturing activities or operating processes in the short and long terms. Inventories are short-term assets, meaning the firm inten... Read More »

Asset Inventory Definition?

A company's inventory levels are important indicators of economic robustness. Senior management often review corporate inventory amounts to forecast future business trends and performance ratios, s... Read More »

Asset Inventory Tools?

Organizations must have the ability to track assets. This is why many use asset inventory tools. This type of software captures and tracks information of assets, such as the type of item, descripti... Read More »